The future of cash

[81A]

Inspired by the debate on cash in the e ticket thread, I thought I would start a dedicated thread here. So, my question is, what does everyone think the future of cash is? What should it be?

A bit of background:

Link cash index
Link, who manage and conduct reports on cash access have started a cash index which shows a steady decline in cash use/acceptance but also some people continue to rely on/prefer it and many people believe it is important for emergencies (link to full index above).
Some relevant quotes:

“LINK research in late 2025 showed that while 77% of retailers still accept cash, 14% have stopped doing so in the last year. The LINK Cash Index shows of 45% people find not accepting cash inconvenient and of these, 42% of these think cash should be accepted as a matter of principle”

“The share of people using cash in the past two weeks has fallen from 73% in 2024 to 61% in 2026”

“When planning for a major disruptive event, 54% of people would withdraw cash, 41% would use cash on hand and over a third (36%) would use cash that they have at home. 17% of people already have some cash safe for this type of scenario.”

“While contactless cards (42%) and using your phone (30%) are UK consumers’ favourites for day-to-day payments, 13% still prefer to pay in cash. This is highest for the 55+ (16%) and lowest among 35-44 (9%). The youngest group, 16-24 are only just below the overall average at 12%.”

While it may be a bit biased (placing emphasis on the continuing importance of cash is hardly surprising for an organisation that supports access to it), I have no reason to doubt it’s figures.

My personal opinion is that cash acceptance should be protected for essential services (groceries, transport, medicine) as some people still rely on it and it provides useful resilience in the event of a national emergency but stopping short of legislation mandating cash acceptance for all businesses. I believe some countries have introduced/are considering introducing similar. Again, this is only my personal opinion and I am curious to see what others think.

 

[pokemonsuper9]

I think cash is definitely on the way out.

I carry a small amount (~£25) of cash on me "for emergencies" but I have barely used any of it in the multiple years I've had it.

The last time I can recall was when the car park at Inverness station only took coins, and that was the summer before last.

== Doublepost prevention - post automatically merged: 25 May 2026 ==

cash acceptance should be protected for essential services (transport)

I think TfL have it right when it comes to cash, particularly in relation to buses - making payment in cash would take too long, so if you really want to pay with cash, you can load an Oyster card at a Pay point (usually a corner store)

 

[81A]

I think TfL have it right when it comes to cash, particularly in relation to buses - making payment in cash would take too long, so if you really want to pay with cash, you can load an Oyster card at a Pay point (usually a corner store)

I agree, the TfL “Pay point” approach seems right for buses-even if some areas decided to sell paper tickets at the Pay points instead of a smart card. It would speed things up and reduce the theft/assault risk on the driver while still protecting the ability to pay cash if you really want/need to.

 

[Bevan Price]

I think there may always be a smallish residual need to retain some cash payments, e.g. young children at local shops; people denied debit or credit cards; areas with poor mobile phone or internet reception.

 

[Bletchleyite]

I think there may always be a smallish residual need to retain some cash payments, e.g. young children at local shops; people denied debit or credit cards; areas with poor mobile phone or internet reception.

With regard to children I went to my local shop earlier and a very small child (probably about 7-8 at oldest, quite possibly younger) had gone to buy something (a bottle of milk I think) with his parent's card and having been told the PIN. This is technically a breach of T&Cs but I suspect it now probably happens just as widely as giving them cash. And there are other options like GoHenry cards and similar.

Areas with poor mobile and internet reception, in time, won't exist as satellite connectivity is normalised.

There will need to be an approach, e.g. zero-floor-limit cards, for basic bank accounts for the unbanked. Being unbanked is increasingly no longer a possibility. A possible option is prepaid cards.

Cash is at the root of a lot of crime and tax evasion overall, though, and while there are potential challenges of near or full abolition I'm inclined towards the view that we are probably close to being able to largely do away with it. I do think the railway will probably take the decision to discontinue accepting it in the not too distant future - doing so would save a fortune in the administration it causes and reduce staff assaults and theft. This could be mitigated for those who really won't use a credit or debit card by offering some sort of railway only prepaid card in conjunction with a bank, which could be loaded at places like PayPoints.

 

[66701GBRF]

I do think the railway will probably take the decision to discontinue accepting it in the not too distant future - doing so would save a fortune in the administration it causes and reduce staff assaults and theft.

Administration costs aside, how often is a railway staff member assaulted due to cash and how often to thefts occur?

 

[The exile]

Once the following can be guaranteed 100% for cashless transactions then I’ll accept that cash is redundant:
1. 100% availability even when all “systems” are down.
2. Instant refund. Any money paid or refunded to me is available within 5 seconds.
3. Ability to pay small amounts to individual that does not require them or me to have compatible devices, or indeed any extra paid-for or data-harvesting technology.

 

[Falcon1200]

particularly in relation to buses - making payment in cash would take too long

I frequently use buses in Oxford and it seems to me that just as much delay is caused by passengers trying to get their phone to connect to the ticket machine as by those paying by cash; Not to mention that even greater delay is down to those who don't know where they are going or which bus to catch (have they never thought of researching beforehand?!) But I agree that Oyster or contactless only does make sense in London, thanks to the flat fare and hopper system. Something similar in other areas, Oxford again being a prime example, would be a great benefit.

Personally I have no problem paying by card, but I prefer to pay small amounts with cash, and the customer should surely, where it is practical, have that choice?

 

[81A]

I frequently use buses in Oxford and it seems to me that just as much delay is caused by passengers trying to get their phone to connect to the ticket machine as by those paying by cash; Not to mention that even greater delay is down to those who don't know where they are going or which bus to catch (have they never thought of researching beforehand?!) But I agree that Oyster or contactless only does make sense in London, thanks to the flat fare and hopper system. Something similar in other areas, Oxford again being a prime example, would be a great benefit.

Personally I have no problem paying by card, but I prefer to pay small amounts with cash, and the customer should surely, where it is practical, have that choice?

Yes, to be fair it is really issuing paper tickets that slows buses down. Paying for a paper ticket with the exact money takes about the same time as paying for a paper ticket with a card. For speed, the best solution is tap on tap off/app tickets (as above with some form of Pay point option for cash users). Going cashless but still issuing paper tickets solves the driver assault thing but doesn’t improve speed massively (at least from what I’ve seen with card paper ticket sales).

 

[The exile]

Yes, to be fair it is really issuing paper tickets that slows buses down. Paying for a paper ticket with the exact money takes about the same time as paying for a paper ticket with a card. For speed, the best solution is tap on tap off/app tickets (as above with some form of Pay point option for cash users). Going cashless but still issuing paper tickets solves the driver assault thing but doesn’t improve speed massively (at least from what I’ve seen with card paper ticket sales).

Getting the machine to read a code on a phone takes (unscientifically observed) 3-4 times as long as plonking down the correct fare and being issued with a ticket. Then repeat when getting off while you hold up everyone behind you and those trying to get on.

 

[bahnause]

Once the following can be guaranteed 100% for cashless transactions then I’ll accept that cash is redundant:
1. 100% availability even when all “systems” are down.

Not the case with cash (most shops don't accept cash during an outage)

2. Instant refund. Any money paid or refunded to me is available within 5 seconds.

Not the case with cash as lot's of retailers reuqire the paperwor to be done with cash too

3. Ability to pay small amounts to individual that does not require them or me to have compatible devices, or indeed any extra paid-for or data-harvesting technology.

Not the case with cash as your £ aure useless for me in my € region

 

[Falcon1200]

Going cashless but still issuing paper tickets solves the driver assault thing but doesn’t improve speed massively (at least from what I’ve seen with card paper ticket sales).

In Oxford I frequently buy a Smartzone Day Ticket for £5, paying by card but issued as a paper ticket; Which it has to be as I use both Oxford Bus Company and Stagecoach services and this is the only option! And to be fair, it doesn't take the drivers long to issue the ticket (presumably as it is a, if not the, most often requested).

 

[The exile]

Not the case with cash (most shops don't accept cash during an outage)

Not the case with cash as lot's of retailers reuqire the paperwor to be done with cash too

Not the case with cash as your £ aure useless for me in my € region

1. That’s the shop’s decision - not a problem inherent to cash. I can hand you a £20 note if all systems are down.
2. If the ticket office issues me with an incorrect ticket and I’ve paid by card, they have to refund and recharge- the re-charge is instant; the refund isn’t. Doesn’t just apply to the railway. Cash can go straight in and out of the till.
3. Strangely enough, I also have Euros.

This seems to be becoming another of those loo-sided arguments. No-one is proposing to return to a “cash only” society, yet the pro-cashless argue for a deprivation of choice, which rides roughshod over “niche” cases which happen not to have the luxury of being protected by discrimination legislation.

 

[81A]

Getting the machine to read a code on a phone takes (unscientifically observed) 3-4 times as long as plonking down the correct fare and being issued with a ticket. Then repeat when getting off while you hold up everyone behind you and those trying to get on.

To be fair, in my experience app tickets are only quicker if the user aligns their phone perfectly the first time (on ticketer machines, I believe this means sliding the phone all the way the the back of the contactless pad). If they don’t know what they are doing, just about anything else is quicker… Contactless/smart card done properly is also quicker, but only with a reliable system that reads cards quickly.

 

[bahnause]

1. That’s the shop’s decision - not a problem inherent to cash. I can hand you a £20 note if all systems are down.

I don't want your cash with systems not working. The workoad would be prohibitive

2. If the ticket office issues me with an incorrect ticket and I’ve paid by card, they have to refund and recharge- the re-charge is instant; the refund isn’t. Doesn’t just apply to the railway. Cash can go straight in and out of the till.

A card refund (or App) takes the same amout of time as the payment. It is instant. Try getting a cash refund without going physically to the shop.

3. Strangely enough, I also have Euros.

See above: What should I do with it. Wasting my time walking to a bank? I don't use cash anymore.

 

[81A]

the pro-cashless argue for a deprivation of choice, which rides roughshod over “niche” cases which happen not to have the luxury of being protected by discrimination legislation.

This is one reason to protect cash use (even if indirectly like the “pay point” solution for transport) for essential services, these “niche” cases are catered for where it matters. I definitely don’t think cash acceptance should be mandatory for non essential services, though. The expense/theft risk is high enough I think such legislation could hurt some smaller businesses.

 

[Bletchleyite]

3. Ability to pay small amounts to individual that does not require them or me to have compatible devices, or indeed any extra paid-for or data-harvesting technology.

This exists, it's called Faster Payments (formerly BACS) and it is offered by 100% of UK banks at zero fee on a personal account. It's about the only way I ever pay money to friends etc. You simply enter their name, sort code, account number and amount, authenticate however that is normally done for your account, and the money is sent pretty much instantly. It can be done from any bank app or online banking website, and also most likely by telephone to your bank.

== Doublepost prevention - post automatically merged: 26 May 2026 ==

A card refund (or App) takes the same amout of time as the payment. It is instant. Try getting a cash refund without going physically to the shop.

This to be fair isn't true. Actual card payments take a few days to settle. You can undo an authorisation instantly but that's not the same thing.

 

[bahnause]

This to be fair isn't true. Actual card payments take a few days to settle. You can undo an authorisation instantly but that's not the same thing.

Actually, instant refunds are common and are the norm here. I can cancel a purchase paid for by card at the ticket machine or via the mobile terminal on the train, and the refund (if the payment has even been processed yet) is available immediately.

 

[martin butler]

I think the reality is that we are already a long way towards a cashless system, when i do my shopping i use my card, not cash, when i buy petrol, again its by card, When I fancy a drink in a pub, often its card only two places i go to on a regular basis, for their open mic nights, don't accept cash,its card only

 

[Bletchleyite]

Actually, instant refunds are common and are the norm here. I can cancel a purchase paid for by card at the ticket machine or via the mobile terminal on the train, and the refund (if the payment has even been processed yet) is available immediately.

It is not generally available in the UK unless you are cancelling the purchase before the money has actually been claimed (in which case as I said that's reversing an authorisation, not refunding money).

Generally with UK card payments, though there may be some progress on improving this, authorisations can be created and removed instantly, but actual settlement takes a few days in most cases. Some banks make this relatively transparent to the customer, i.e. an authorisation is shown as a debit and a cancelled authorisation as a refund, even though that is not what actually happened in the back end, as this aids budgeting. However an authorisation is just that and does not, for example, result in charges if you are overdrawn - only the actual claim a few days later does that.

 

[JamesT]

In Oxford I frequently buy a Smartzone Day Ticket for £5, paying by card but issued as a paper ticket; Which it has to be as I use both Oxford Bus Company and Stagecoach services and this is the only option! And to be fair, it doesn't take the drivers long to issue the ticket (presumably as it is a, if not the, most often requested).

You can buy day smartzone tickets on both company's apps, which cuts out the paper bit.

 

[35B]

1. That’s the shop’s decision - not a problem inherent to cash. I can hand you a £20 note if all systems are down.
2. If the ticket office issues me with an incorrect ticket and I’ve paid by card, they have to refund and recharge- the re-charge is instant; the refund isn’t. Doesn’t just apply to the railway. Cash can go straight in and out of the till.
3. Strangely enough, I also have Euros.

This seems to be becoming another of those loo-sided arguments. No-one is proposing to return to a “cash only” society, yet the pro-cashless argue for a deprivation of choice, which rides roughshod over “niche” cases which happen not to have the luxury of being protected by discrimination legislation.

Indeed. With an admixture of “I don’t use it so no one else should want to either”.

Cash remains of value to people, and for entirely legitimate reasons. It is much less used than it used to be, but retains a significant level of usage, especially for those who are less technically adept.

As for the argument that it facilitates crime, that argument is risible. Plenty of people find plenty of ways to launder proceeds of crime, and arguably the use of crypto is a far more economically significant home for criminal usage.

 

[Bletchleyite]

As for the argument that it facilitates crime, that argument is risible. Plenty of people find plenty of ways to launder proceeds of crime, and arguably the use of crypto is a far more economically significant home for criminal usage.

To be fair there would be a very strong argument for a total ban on crypto. I would agree that the vast majority of its use is (apart from those who like high risk investments) crime and tax evasion. Hard to enforce though.

 

[sor]

With regard to children I went to my local shop earlier and a very small child (probably about 7-8 at oldest, quite possibly younger) had gone to buy something (a bottle of milk I think) with his parent's card and having been told the PIN. This is technically a breach of T&Cs but I suspect it now probably happens just as widely as giving them cash. And there are other options like GoHenry cards and similar.

Some banks, Starling notably, offer this specific service. The parent manages the account but the kid gets their own debit card with PIN and read-only access to an app so they can track their spending. The parent is notified after every transaction. All above board.

There will need to be an approach, e.g. zero-floor-limit cards, for basic bank accounts for the unbanked. Being unbanked is increasingly no longer a possibility. A possible option is prepaid cards.

Is this not a feature of the existing basic bank accounts?

This used to be a bugbear for older Natwest/RBS customers who might not have qualified for an "offline" card when they opened the account, eg because they were under 18, but they had no easy way to change over later on. Natwest used to issue blue cards to those customers and purple cards (which were also cheque guarantee cards back in the day) to the rest. Became easier when contactless launched as that was the only option.

Indeed. With an admixture of “I don’t use it so no one else should want to either”.

Cash remains of value to people, and for entirely legitimate reasons. It is much less used than it used to be, but retains a significant level of usage, especially for those who are less technically adept.

There are always people insisting that the old system should remain in place, but there are never enough people willing to pay for the additional costs of providing it, be it cash, long wave radio, "analogue" phone lines, bank branch networks and all the rest of it.

That becomes even more of a valid question when the discussion inevitably moves to whether some form of cash acceptance should become mandatory, a path that I believe other countries have already gone down

 

[Buzby]

I was in the IoM last week and bought a £50 5-day travel ticket from the Welcome Centre at the Douglas Ferry Terminal. My watch swiped the terminal a the system went down. It seems the MSPC terminals are linked to the ferry booking system, and that morning had just released the Summer tickets so the system was swamped. I was asked if I had cash, and I said no. I was then directed to a Manx Bank ATM outside. I also refused as my CC gives me cash back, but if I draw cash I’m forced to pay a cash advance fee.

i suggested since they knew this happens regularly, they should alert their IT department to have greater resilience or extra capacity when this happens. I had to wait 10 minutes until the scan worked. NOT a great advert!

PS Don’t try to visit the Electric Railway Museum at Derby Castle Depot. Despite the maps showing it, it was closed. Only the Port Erin Steam Museum remains!

 

[35B]

There are always people insisting that the old system should remain in place, but there are never enough people willing to pay for the additional costs of providing it, be it cash, long wave radio, "analogue" phone lines, bank branch networks and all the rest of it.

That becomes even more of a valid question when the discussion inevitably moves to whether some form of cash acceptance should become mandatory, a path that I believe other countries have already gone down

The question of cost is relevant, because the nature of British banking has typically treated cash as free to use, and hidden the costs whereas card costs are much more visible. If I take a payment on SumUp, I can see the charge. If I take it as cash, the costs are much less clear - but equally real.

Ultimately, I regard the survival of cash as necessary until online systems can genuinely demonstrate their total reliability and access to all who wish, regardless of status.

 

[Merle Haggard]

The question of cost is relevant, because the nature of British banking has typically treated cash as free to use, and hidden the costs whereas card costs are much more visible. If I take a payment on SumUp, I can see the charge. If I take it as cash, the costs are much less clear - but equally real.

Ultimately, I regard the survival of cash as necessary until online systems can genuinely demonstrate their total reliability and access to all who wish, regardless of status.

Someone I know ran a small business with customers, often students, that paid £10 - £15. Although he was charged for depositing cheques (rare0 and for accepting payment cards he was also charged for depositing cash, on pro-rata basis, at a higher rate than cheques.
There was a way around this involving me which I won't elaborate on because it might be construed as money laundering. Clues; I have a cheque book and also could then deposit reasonably large amounts of cash in my current account without incurring bank charges. I think that things may have changed currently, though.

 

[sor]

The question of cost is relevant, because the nature of British banking has typically treated cash as free to use, and hidden the costs whereas card costs are much more visible. If I take a payment on SumUp, I can see the charge. If I take it as cash, the costs are much less clear - but equally real.

Ultimately, I regard the survival of cash as necessary until online systems can genuinely demonstrate their total reliability and access to all who wish, regardless of status.

That's my entire point. Banks had an incentive to keep the cash flowing back when that was the dominant form of payment. Times have changed, card is king and banks can process many times more transactions at a far lower cost. Cash isn't free either, as business bank accounts charge for cash deposits alongside with the time taken to get to the branch, and for larger businesses the cost of armoured transport, and the risk that you might have accepted countefeits

 

[Bletchleyite]

The question of cost is relevant, because the nature of British banking has typically treated cash as free to use, and hidden the costs whereas card costs are much more visible. If I take a payment on SumUp, I can see the charge. If I take it as cash, the costs are much less clear - but equally real.

Yep. Cash has to be counted, bagged and transported to the bank. Some small businesses won't account for that time though, arguably they should!

By the way as I like to point out when this comes up, "cash is king" doesn't refer to coins and notes. The full phrase is "turnover is vanity, profit is sanity, cash is king" though I forget who said it, and it refers to businesses using accruals accounting - basically you can be turning over what you like but if you aren't making a profit you won't last, and if you've got nothing in the bank you've not got long at all!

== Doublepost prevention - post automatically merged: 26 May 2026 ==

There was a way around this involving me which I won't elaborate on because it might be construed as money laundering. Clues; I have a cheque book and also could then deposit reasonably large amounts of cash in my current account without incurring bank charges. I think that things may have changed currently, though.

Quite a few banks now (particularly Monzo) will terminate accounts permanently if they see that sort of thing going on.

 

[Buzby]

As a non-business Banking user, I used to be impressed that cash deposits were free for their customers, however with the decimation of bank branches, cash is now a liability and I avoid it wherever possible. The takeaways that proclaim ‘Cash only” have lost a ton of money from me and others (whether it’s a tax dodge or not!).